Preamble

The member States of the Council
of Europe and the member countries of the Organisation for Economic Co-operation
and Development (OECD), signatories of this Convention,
Considering that the development of international movement of persons, capital,
goods and services  although highly beneficial in itself  has
increased the possibilities of tax avoidance and eva-sion and therefore
requires increasing co-operation among tax authorities;
Welcoming the various efforts made in recent years to combat tax avoidance
and tax evasion on an international level, whether bilaterally or multilaterally;
Considering that a co-ordinated effort between States is necessary in order
to foster all forms of administrative assistance in matters concerning taxes
of any kind whilst at the same time ensuring adequate protection of the
rights of taxpayers;
Recognising that international co-operation can play an important part in
facilitating the proper determination of tax liabilities and in helping
the taxpayer to secure his rights;
Considering that fundamental principles entitling every person to have his
rights and obligations determined in accordance with a proper legal procedure
should be recognised as applying to tax matters in all States and that States
should endeavour to protect the legitimate interests of taxpayers, including
appropriate protection against discrimination and double taxation;
Convinced therefore that States should not carry out measures or supply
information except in conformity with their domestic law and practice, having
regard to the necessity of protecting the confidentiality of information,
and taking account of international instruments for the protection of privacy
and flows of personal data;
Desiring to conclude a convention on mutual administrative assistance in
tax matters,
Have agreed as follows:

Chapter I 
Scope of the Convention

Article 1
 Object of the Convention and persons covered

The Parties shall, subject
to the provisions of Chapter IV, provide administrative assistance to each
other in tax matters. Such assistance may involve, where appropriate, measures
taken by judicial bodies.

Such administrative assistance
shall comprise:

exchange of information,
including simultaneous tax examinations and participation in tax examinations
abroad;

assistance in recovery, including
measures of conservancy; and

service of documents.

A Party shall provide administrative
assistance whether the person affected is a resident or national of a Party
or of any other State.

Article 2
 Taxes covered

This Convention shall apply:

to the following taxes:

taxes on income or profits;

taxes on capital gains
which are imposed separately from the tax on income or profits;

taxes on net wealth;

imposed on behalf of a Party;
and

to the following taxes:

taxes on income, profits,
capital gains or net wealth which are imposed on behalf of political
divisions or local authorities of a Party;

compulsory social security
contributions payable to general government or to social security institutions
established under public law;

taxes in other categories,
except customs duties, imposed on behalf of a Party, namely:

estate, inheritance or
gift taxes;

taxes on immovable property;

general consumption taxes,
such as value-added or sales taxes;

specific taxes on goods
and services such as excise taxes;

taxes on the use or ownership
of motor vehicles;

taxes on the use or ownership
of movable property other than motor vehicles;

any other taxes.

taxes in categories referred
to in sub-paragraph iii above which are imposed on behalf of political
subdivisions or local authorities of a Party.

The existing taxes to which
the Convention shall apply are listed in Annex A in the categories referred
to in paragraph 1.

The Parties shall notify the
Secretary General of the Council of Europe or the Secretary General of OECD
(hereinafter referred to as the "Depositaries") of any change
to be made to Annex A as a result of a modification of the list mentioned
in paragraph 2. Such change shall take effect on the first day of the month
following the expiration of a period of three months after the date of receipt
of such notification by the Depositary.

The Convention shall also apply,
as from their adoption, to any identical or substantially similar taxes
which are imposed in a Contracting State after the entry into force of the
Convention in respect of that Party in addition to or in place of the existing
taxes listed in Annex A and, in that event, the Party concerned shall notify
one of the Depositaries of the adoption of the tax in question.

Chapter II
 General definitions

Article 3
 Definitions

For the purposes of this Convention,
unless the context otherwise requires:

the terms "applicant
State" and "requested State" mean respectively any Party
applying for administrative assistance in tax matters and any Party requested
to provide such assistance;

the term "tax"
means any tax or social security contribution to which the Convention
applies pursuant to Article 2;

the term "tax claim"
means any amount of tax, as well as interest thereon, related administrative
fines and costs incidental to recovery, which are owed and not yet paid;

the term "competent
authority" means the persons and authorities listed in Annex B;

the term "nationals"
in relation to a Party means:

all individuals possessing
the nationality of that Party, and

all legal persons, partnerships,
associations and other entities deriving their status as such from the
laws in force in that Party.

For each Party that has made
a declaration for that purpose, the terms used above will be understood
as defined in Annex C.

As regards the application
of the Convention by a Party, any term not defined therein shall, unless
the context otherwise requires, have the meaning which it has under the
law of that Party concerning the taxes covered by the Convention.

The Parties shall notify one
of the Depositaries of any change to be made to Annexes B and C. Such change
shall take effect on the first day of the month following the expiration
of a period of three months after the date of receipt of such notification
by the Depositary in question.

Chapter III
 Forms of assistance

Section I
 Exchange of information

Article 4
 General provisions

The Parties shall exchange
any information, in particular as provided in this section, that is foreseeably
relevant to:

the assessment and collection
of tax, and the recovery and enforcement of tax claims, and

the prosecution before an
administrative authority or the initiation of prosecution before a judicial
body.

Information which is unlikely
to be relevant to these purposes shall not be exchanged under this Convention.

A Party may use information
obtained under this Convention as evidence before a criminal court only
if prior authorisation has been given by the Party which has supplied the
information. However, any two or more Parties may mutually agree to waive
the condition of prior authorisation.

Any Party may, by a declaration
addressed to one of the Depositories, indicate that, according to its internal
legislation, its authorities may inform its resident or national before
transmitting information concerning him, in conformity with Articles 5 and
7.

Article 5
 Exchange of information on request

At the request of the applicant
State, the requested State shall provide the applicant State with any information
referred to in Article 4 which concerns particular persons or transactions.

If the information available
in the tax files of the requested State is not sufficient to enable it to
comply with the request for information, that State shall take all relevant
measures to provide the applicant State with the information requested.

Article 6
 Automatic exchange of information

With respect to categories of
cases and in accordance with procedures which they shall determine by mutual
agreement, two or more Parties shall automatically exchange the information
referred to in Article 4.

Article 7
 Spontaneous exchange of information

A Party shall, without prior
request, forward to another Party information of which it has knowledge
in the following circumstances:

the first-mentioned Party
has grounds for supposing that there may be a loss of tax in the other
Party;

a person liable to tax obtains
a reduction in or an exemption from tax in the first-mentioned Party which
would give rise to an increase in tax or to liability to tax in the other
Party;

business dealings between
a person liable to tax in a Party and a person liable to tax in another
Party are conducted through one or more countries in such a way that a
saving in tax may result in one or the other Party or in both;

a Party has grounds for supposing
that a saving of tax may result from artificial transfers of profits within
groups of enterprises;

information forwarded to
the first-mentioned Party by the other Party has enabled information to
be obtained which may be relevant in assessing liability to tax in the
latter Party.

Each Party shall take such
measures and implement such procedures as are necessary to ensure that information
described in paragraph 1 will be made available for transmission to another
Party.

Article 8
 Simultaneous tax examinations

At the request of one of them,
two or more Parties shall consult together for the purposes of determining
cases and procedures for simultaneous tax examinations. Each Party involved
shall decide whether or not it wishes to participate in a particular simultaneous
tax examination.

For the purposes of this Convention,
a simultaneous tax examination means an arrangement between two or more
Parties to examine simultaneously, each in its own territory, the tax affairs
of a person or persons in which they have a common or related interest,
with a view to exchanging any relevant information which they so obtain.

Article 9
 Tax examinations abroad

At the request of the competent
authority of the applicant State, the competent authority of the requested
State may allow representatives of the competent authority of the applicant
State to be present at the appropriate part of a tax examination in the
requested State.

If the request is acceded to,
the competent authority of the requested State shall, as soon as possible,
notify the competent authority of the applicant State about the time and
place of the examination, the authority or official designated to carry
out the examination and the procedures and conditions required by the requested
State for the conduct of the examination. All decisions with respect to
the conduct of the tax examination shall be made by the requested State.

A Party may inform one of the
Depositaries of its intention not to accept, as a general rule, such requests
as are referred to in paragraph 1. Such a declaration may be made or withdrawn
at any time.

Article
10  Conflicting information

If a Party receives from another
Party information about a person's tax affairs which appears to it to conflict
with information in its possession, it shall so advise the Party which has
provided the information.

Section II
 Assistance in recovery

Article
11  Recovery of tax claims

At the request of the applicant
State the requested State shall, subject to the provisions of Articles 14
and 15, take the necessary steps to recover tax claims of the first-mentioned
State as if they were its own tax claims.

The provision of paragraph
1 shall apply only to tax claims which form the subject of an instrument
permitting their enforcement in the applicant State and, unless otherwise
agreed between the Parties concerned, which are not contested. However,
where the claim is against a person who is not a resident of the applicant
State, paragraph 1 shall only apply, unless otherwise agreed between the
Parties concerned, where the claim may no longer be contested.

The obligation to provide assistance
in the recovery of tax claims concerning a deceased person or his estate,
is limited to the value of the estate or of the property acquired by each
beneficiary of the estate, according to whether the claim is to be recovered
from the estate or from the beneficiaries thereof.

Article
12  Measures of conservancy

At the request of the applicant
State the requested State shall, with a view to the recovery of an amount
of tax, take measures of conservancy even if the claim is contested or is
not yet the subject of an instrument permitting enforcement.

Article
13  Documents accompanying the request

The request for administrative
assistance under this section shall be accompanied by:

a declaration that the tax
claim concerns a tax covered by the Convention and, in the case of recovery
that, subject to paragraph 2 of Article 11, the tax claim is not or may
not be contested;

an official copy of the instrument
permitting enforcement in the applicant State; and

any other document required
for recovery or measures of conservancy.

The instrument permitting enforcement
in the applicant State shall, where appropriate and in accordance with the
provisions in force in the requested State, be accepted, recognised, supplemented
or replaced as soon as possible after the date of the receipt of the request
for assistance, by an instrument permitting enforcement in the latter State.

Article
14  Time limits

Questions concerning any period
beyond which a tax claim cannot be enforced shall be governed by the law
of the applicant State. The request for assistance shall give particulars
concerning that period.

Acts of recovery carried out
by the requested State in pursuance of a request for assistance, which,
according to the laws of that State, would have the effect of suspending
or interrupting the period mentioned in paragraph 1, shall also have this
effect under the laws of the applicant State. The requested State shall
inform the applicant State about such acts.

In any case the requested State
is not obliged to comply with a request for assistance which is submitted
after a period of 15 years from the date of the original instrument permitting
enforcement.

Article
15  Priority

The tax claim in the recovery
of which assistance is provided shall not have in the requested State any
priority specially accorded to the tax claims of that State even if the
recovery procedure used is the one applicable to its own tax claims.

Article
16  Deferral of payment

The requested State may allow
deferral of payment or payment by instalments if its laws or administrative
practice permit it to do so in similar circumstances but shall first inform
the applicant State.

Section III
 Service of documents

Article
17  Service of documents

At the request of the applicant
State the requested State shall serve upon the addressee documents, including
those relating to judicial decisions, which emanate from the applicant State
and which relate to a tax covered by this Convention.

The requested State shall effect
service of documents:

by a method prescribed by
its domestic laws for the service of documents of a substantially similar
nature;

to the extent possible, by
a particular method requested by the applicant State or the closest to
such method available under its own laws.

A Party may effect service
of documents directly through the post on a person within the territory
of another Party.

Nothing in the Convention shall
be construed as invalidating any service of documents by a Party in accordance
with its laws.

When a document is served in
accordance with this article it need not be accompanied by a translation.
However, where it is satisfied that the addressee cannot understand the
language of the document the requested State shall arrange to have it translated
into or a summary drafted in its or one of its official languages. Alternatively,
it may ask the applicant State to have the document either translated into
or accompanied by a summary in one of the official languages of the requested
State, the Council of Europe or OECD.

Chapter IV
 Provisions relating to all forms of assistance

Article
18  Information to be provided by the applicant state

A request for assistance shall
indicate where appropriate:

the authority or agency which
initiated the request made by the competent authority;

the name, address and any
other particulars assisting in the identification of the person in respect
of whom the request is made;

in the case of a request
for information, the form in which the applicant State wishes the information
to be supplied in order to meet its needs;

in the case of a request
for assistance in recovery or measures of conservancy, the nature of the
tax claim, the components of the tax claim and the assets from which the
tax claim may be recovered;

in the case of a request
for service of documents, the nature and the subject of the document to
be served;

whether it is in conformity
with the law and administrative practice of the applicant State and whether
it is justified in the light of the requirements of Article 19.

As soon as any other information
relevant to the request for assistance comes to its knowledge, the applicant
State shall forward it to the requested State.

Article
19  Possibility of declining a request

The requested State shall not
be obliged to accede to a request if the applicant State has not pursued
all means available in its own territory, except where recourse to such
means would give rise to disproportionate difficulty.

Article
20  Response to the request for assistance

If the request for assistance
is complied with, the requested State shall inform the applicant State of
the action taken and of the result of the assistance as soon as possible.

If the request is declined,
the requested State shall inform the applicant State of that decision and
the reason for it as soon as possible.

If, with respect to a request
for information, the applicant State has specified the form in which it
wishes the information to be supplied and the requested State is in a position
to do so, the requested State shall supply it in the form requested.

Article
21  Protection of persons and limits to the obligation to provide
assistance

Nothing in this Convention
shall affect the rights and safeguards secured to persons by the laws or
administrative practice of the requested State.

Except in the case of Article
14 the provisions of this Convention shall not be construed so as to impose
on the requested State the obligation:

to carry out measures at
variance with its own laws or administrative practice or the laws or administrative
practice of the applicant State;

to carry out measures which
it considers contrary to public policy (ordre public) or to its essential
interests;

to supply information which
is not obtainable under its own laws or its administrative practice or
under the laws of the applicant State or its administrative practice;

to supply information which
would disclose any trade, business, industrial, commercial or professional
secret, or trade process, or information the disclosure of which would
be contrary to public policy (ordre public) or to its essential interests;

to provide administrative
assistance if and insofar as it considers the taxation in the applicant
State to be contrary to generally accepted taxation principles or to the
provisions of a convention for the avoidance of double taxation, or of
any other convention which the requested State has concluded with the
applicant State;

to provide assistance if
the application of this Convention would lead to discrimination between
a national of the requested State and nationals of the applicant State
in the same circumstances.

Article
22  Secrecy

Any information obtained by
a Party under this Convention shall be treated as secret in the same manner
as information obtained under the domestic laws of that Party, or under
the conditions of secrecy applying in the supplying Party if such conditions
are more restrictive.

Such information shall in any
case be disclosed only to persons or authorities (including courts and administrative
or supervisory bodies) involved in the assessment, collection or recovery
of, the enforcement or prosecution in respect of, or the determination of
appeals in relation to, taxes of that Party. Only the persons or authorities
mentioned above may use the information and then only for such purposes.
They may, notwithstanding the provisions of paragraph 1, disclose it in
public court proceedings or in judicial decisions relating to such taxes,
subject to prior authorisation by the competent authority of the supplying
Party. However, any two or more Parties may mutually agree to waive the
condition of prior authorisation.

If a Party has made a reservation
provided for in sub-paragraph a of paragraph 1 of Article 30, any other
Party obtaining information from that Party shall not use it for the purpose
of a tax in a category subject to the reservation. Similarly the Party making
such a reservation shall not use information obtained under this Convention
for the purpose of a tax in a category subject to the reservation.

Notwithstanding the provisions
of paragraphs 1, 2 and 3, information received by a Party may be used for
other purposes when such information may be used for such other purposes
under the laws of the supplying Party and the competent authority of that
Party authorises such use. Information provided by a Party to another Party
may be transmitted by the latter to a third Party, subject to prior authorisation
by the competent authority of the first-mentioned Party.

Article
23  Proceedings

Proceedings relating to measures
taken under this Convention by the requested State shall be brought only
before the appropriate body of that State.

Proceedings relating to measures
taken under this Convention by the applicant State, in particular those
which, in the field of recovery, concern the existence or the amount of
the tax claim or the instrument permitting its enforcement, shall be brought
only before the appropriate body of that State. If such proceedings are
brought, the applicant State shall inform the requested State which shall
suspend the procedure pending the decision of the body in question.
However, the requested State shall, if asked by the applicant State, take
measures of conservancy to safeguard recovery. The requested State can also
be informed of such proceedings by any interested person. Upon receipt of
such information the requested State shall consult on the matter, if necessary,
with the applicant State.

As soon as a final decision
in the proceedings has been given, the requested State or the applicant
State, as the case may be, shall notify the other State of the decision
and the implications which it has for the request for assistance.

Chapter V 
Special provisions

Article
24  Implementation of the Convention

The Parties shall communicate
with each other for the implementation of this convention through their
respective competent authorities. The competent authorities may communicate
directly for this purpose and may authorise subordinate authorities to act
on their behalf. The competent authorities of two or more Parties may mutually
agree on the mode of application of the Convention among themselves.

Where the requested State considers
that the application of this Convention in a particular case would have
serious and undesirable consequences, the competent authorities of the requested
and of the applicant State shall consult each other and endeavour to resolve
the situation by mutual agreement.

A co-ordinating body composed
of representatives of the competent authorities of the Parties shall monitor
the implementation and development of this Convention, under the aegis of
OECD. To that end, the co-ordinating body shall recommend any action likely
to further the general aims of the Convention. In particular it shall act
as a forum for the study of new methods and procedures to increase international
co-operation in tax matters and, where appropriate, it may recommend revisions
or amendments to the Convention. States which have signed but not yet ratified,
accepted or approved the Convention are entitled to be represented at the
meetings of the co-ordinating body as observers.

A Party may ask the co-ordinating
body to furnish opinions on the interpretation of the provisions of the
Convention.

Where difficulties or doubts
arise between two or more Parties regarding the implementation or interpretation
of the Convention, the competent authorities of those Parties shall endeavour
to resolve the matter by mutual agreement. The agreement shall be communicated
to the co-ordinating body.

The Secretary General of OECD
shall inform the Parties, and the Signatory States which have not yet ratified,
accepted or approved the Convention, of opinions furnished by the co-ordinating
body according to the provisions of paragraph 4 above and of mutual agreements
reached under paragraph 5 above.

Article
25  Language

Requests for assistance and
answers thereto shall be drawn up in one of the official languages of OECD
and of the Council of Europe or in any other language agreed bilaterally
between the Contracting States concerned.

Article
26  Costs

Unless otherwise agreed bilaterally
by the Parties concerned:

ordinary costs incurred in
providing assistance shall be borne by the requested State;

extraordinary costs incurred
in providing assistance shall be borne by the applicant State.

Chapter VI
 Final provisions

Article
27  Other international agreements or arrangements

The possibilities of assistance
provided by this Convention do not limit, nor are they limited by, those
contained in existing or future international agreements or other arrangements
between the Parties concerned or other instruments which relate to co-operation
in tax matters.

Notwithstanding the rules of
the present Convention, those Parties which are members of the European
Economic Community shall apply in their mutual relations the common rules
in force in that Community.

Article
28  Signature and entry into force of the Convention

This Convention shall be open
for signature by the member States of the Council of Europe and the member
countries of OECD. It is subject to ratification, acceptance or approval.
Instruments of ratification, acceptance or approval shall be deposited with
one of the Depositaries.

This Convention shall enter
into force on the first day of the month following the expiration of a period
of three months after the date on which five States have expressed their
consent to be bound by the Convention in accordance with the provisions
of paragraph 1.

In respect of any member State
of the Council of Europe or any member country of OECD which subsequently
expresses its consent to be bound by it, the Convention shall enter into
force on the first day of the month following the expiration of a period
of three months after the date of the deposit of the instrument of ratification,
acceptance or approval.

Article
29  Territorial application of the Convention

Each State may at the time
of signature, or when depositing its instrument of ratification, acceptance
or approval, specify the territory or territories to which this Convention
shall apply.

Any State may, at any later
date, by a declaration addressed to one of the Depositaries, extend the
application of this Convention to any other territory specified in the declaration.
In respect of such territory the Convention shall enter into force on the
first day of the month following the expiration of a period of three months
after the date of receipt of such declaration by the Depositary.

Any declaration made under
either of the two preceding paragraphs may, in respect of any territory
specified in such declaration, be withdrawn by a notification addressed
to one of the Depositaries. The withdrawal shall become effective on the
first day of the month following the expiration of a period of three months
after the date of receipt of such notification by the Depositary.

Article
30  Reservations

Any State may, at the time
of signature or when depositing its instrument of ratification, acceptance
or approval or at any later date declare that it reserves the right:

not to provide any form of
assistance in relation to the taxes of other Parties in any if the categories
listed in sub-paragraph b of paragraph 1 of Article 2, provided that it
has not included any domestic tax in that category under Annex A of the
Convention;

not to provide assistance
in the recovery of any tax claim, or in the recovery of an administrative
fine, for all taxes or only for taxes in one or more of the categories
listed in paragraph 1 of Article 2;

not to provide assistance
in respect of any tax claim, which is in existence at the date of entry
into force of the Convention in respect of that State or, where a reservation
has previously been made under sub-paragraph a or b above, at the date
of withdrawal of such a reservation in relation to taxes in the category
in question;

not to provide assistance
in the service of documents for all taxes or only for taxes in one or
more of the categories listed in paragraph 1 of Article 2;

not to permit the service
of documents through the post as provided for in paragraph 3 of Article
17.

No other reservation may be
made.

After the entry into force
of the Convention in respect of a Party, that Party may make one or more
of the reservations listed in paragraph 1 which it did not make at the time
of ratification, acceptance or approval. Such reservations shall enter into
force on the first day of the month following the expiration of a period
of three months after the date of receipt of the reservation by one of the
Depositaries.

Any Party which has made a
reservation under paragraphs 1 and 3 may wholly or partly withdraw it by
means of a notification addressed to one of the Depositaries. The withdrawal
shall take effect on the date of receipt of such notification by the Depositary
in question.

A Party which has made a reservation
in respect of a provision of this Convention may not require the application
of that provision by any other Party; it may, however, if its reservation
is partial, require the application of that provision insofar as it has
itself accepted it.

Article
31  Denunciation

Any Party may at any time denounce
this Convention by means of a notification addressed to one of the Depositaries.

Such denunciation shall become
effective on the first day of the month following the expiration of a period
of three months after the date of receipt of the notification by the Depositary.

Any Party which denounces the
Convention shall remain bound by the provisions of Article 22 for as long
as it retains in its possession any documents or information obtained under
the Convention.

Article
32  Depositaries and their functions

The Depositary with whom an
act, notification or communication has been accomplished, shall notify the
member States of the Council of Europe and the member countries of OECD
of:

any signature;

the deposit of any instrument
of ratification, acceptance or approval;

any date of entry into force
of this Convention in accordance with the provisions of Articles 28 and
29;

any declaration made in pursuance
of the provisions of paragraph 3 of Article 4 or paragraph 3 of Article
9 and the withdrawal of any such declaration;

any reservation made in pursuance
of the provisions of Article 30 and the withdrawal of any reservation
effected in pursuance of the provisions of paragraph 4 of Article 30;

any notification received
in pursuance of the provisions of paragraph 3 or 4 of Article 2, paragraph
3 of Article 3, Article 29 or paragraph 1 of Article 31;

any other act, notification
or communication relating to this Convention.

The Depositary receiving a
communication or making a notification in pursuance of the provisions of
paragraph 1 shall inform the other Depositary thereof.

In witness whereof the undersigned,
being duly authorised thereto, have signed the Convention.
Done at Strasbourg, the 25th day of January 1988 in English and French,
both texts being equally authentic, in two copies of which one shall be
deposited in the archives of the Council of Europe and the other in the
archives of OECD. The Secretaries General of the Council of Europe and of
OECD shall transmit certified copies to each member State of the Council
of Europe and of the member countries of OECD.